As many of you know, PRISM is a forecasting tool that helps you pinpoint potential problems with real-time forecasting and variance analysis. But is it possible to create a detailed forecast with quantities and unit rates that can then be linked to a control account?
The answer is yes and it can be done using the Budget Details.
Let’s assume that engineers are contemplating adding an additional motor to a portable water pump on a project. The project manager has asked you to determine the costs of purchasing and installing the motor and reflecting those costs in the project forecast. So, how do you come up with the forecasted cost for purchasing and installing the motor?
- First, create a new Change ID to identify this forecast change to the project.
- Estimate the cost of the motor by creating a Budget Detail item by assigning Quantities, Unit Hours, and Unit Prices, to come up with the total installed cost of the motor.
- Link the motor costs to a Control Account(s), but also to the Change ID. In the example below, the total cost includes labor, process equipment, and freight costs. The costs have been allocated to 3 different Control Accounts, as well as to a Change ID.
- For the Change ID, use the Copy from Budget Details feature that will create the Control Account Breakdown records and summarize the estimated costs.
- The forecasted costs for the new motor can be calculated from the Budget Details and copied to a Change ID, which then goes through the standard change review and approval process.
Hope this helps all you PRISM lovers out there! If you have additional questions for us, feel free to email us at firstname.lastname@example.org.
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